Sharp Rebound from Lows

Given the sharp bullish reversal seen today, higher targets seem likely before the advance is complete. This doesn’t mean natural gas goes straight up but it does indicate a possible bottom has been established at last Friday’s low of 2.99, at least for now. That low was in an area of confluence from several indicators all pointing to possible support around the 61.8% Fibonacci retracement at 3.03.

Above 3.41 Trigger Bullish Continuation

A breakout above today’s high of 3.41 triggers a continuation of the bounce. The next upside target is marked by two indicators from 3.51 to 3.52, consisting of the 38.2% Fibonacci retracement and the 50-Day MA, respectively. If upward momentum can be sustained there is a chance for a test of a higher potential resistance zone starting from the October 2023 peak at 3.64.

A potential resistance zone goes up to the 20-Day MA, currently at 3.71. Notice that a breakdown of the rising trend triggered a breakdown below the 20-Day MA and trendline on the same day, January 27. The current advance has the potential to eventually test resistance around the 20-Day line.

Bottom Likely Establish for Now

If natural gas decides to pullback and further test recent lows as support, the expectation is that it would hold as support, at least till there is a higher bounce. This is due to the combination of a clear support zone, as well as the rising trendline that is also around the lows. The expectation would be for further tests of recent lows to find support above the 2.99 price level.

Last week’s high was 3.83 and it established a high for a relatively wide range week. Since natural gas is stuck within the range, there is a chance to approach and test the area zone as resistance in reaction to last week’s very bearish price action.

For a look at all of today’s economic events, check out our economic calendar.

• Silver price loses ground to around $30.90 in Monday’s early European session, losing 1.30% on the day.
• The positive view of silver prevails above the 100-period EMA with a neutral RSI indicator.
• The initial support level is located at $30.60; the immediate resistance level is seen at $31.72.

The Silver price (XAG/USD) tumbles to near $30.90 during the early European trading hours on Monday. The mounting fears of a global trade war following US President Donald Trump’s sweeping tariff measures boost the US Dollar (USD) broadly and exerts some selling pressure on the white metal.

According to the 4-hour chart, the bullish outlook of the white metal remains intact, with the price holding above the key 100-period Exponential Moving Averages (EMA). Nonetheless, the Relative Strength Index (RSI) hovers around the midline, suggesting that further consolidation cannot be ruled out.

The first downside target is located at $30.60, the 100-period EMA. Further south, the next contention level to watch is $30.40, the lower limit of the Bollinger Band. Extended losses will pave the way to the $30.00, psychological level, en route to $29.50, the low of January 13.

In the bullish case, the immediate resistance level emerges at $31.72, the high of January 31. The next hurdle is seen at the $31.90-$32.00 region, representing the upper limit of the Bollinger Band and the round mark.

Silver price 4-hour chart

Bitcoin price (BTCUSD) shows additional positive trades to attempt to surpass 95195.00$ level, and as we mentioned this morning, this level represents important key to detect the next trend, as breaching it will push the price to attempt to regain the bullish track and achieve positive targets that reach 100000.00$, while consolidating below it will put the price under additional negative pressure that its next target reaches 87055.00$.

Therefore, we will continue with our neutrality until the price confirms its situation according to the above mentioned level followed by getting clearer signal for the next trend.

The expected trading range for today is between 90000.00$ support and 98500.00$ resistance.

Trend forecast: Neutral

XAU/USD Current price: $2,821.47

• US President Donald Trump’s first round of tariffs triggered panic in the financial world.
• United States employment data and the Bank of England stand out this week.
• XAU/USD set to extend gains beyond $2,825 amid resurgent demand for safety.

Spot Gold benefited from a risk-averse environment, with XAU/USD advancing beyond the $2,800 mark ahead of the American session opening. Fears are dominating financial markets after United States (US) President Donald Trump announced tariffs on three of its major trading counterparts.

Trump announced 25% tariffs on Mexico and Canada and 10% levies on Chinese imports on Saturday while anticipating he will also target the European Union (EU) and the United Kingdom, spurring concerns about a trade war that would disrupt global supply chains. Safe-haven assets soared while worldwide indexes edged sharply lower. Authorities from the affected countries rushed to announce countermeasures with different degrees of detail.

The panic mood, however, receded during American trading hours. Wall Street started the day with sharp losses but trimmed a good part of those following headlines that cooled down concerns, as Mexico’s President Claudia Sheinbaum said tariffs against the country would be paused after announcing retaliatory levies over the weekend.

As for the bright metal, it benefited throughout the first half of the day from the dismal sentiment, extending gains while the USD retraced. As a result, XAU/USD reached a fresh all-time high of $2,825.39, trading nearby at the time being.

The macroeconomic calendar will feature the Bank of England (BoE) monetary policy decision this week and US employment-related data, including the ADP survey on Employment Change and the monthly Nonfarm Payrolls report. Nevertheless, tariffs and the trade war are likely to dominate financial markets.

XAU/USD short-term technical outlook

From a technical point of view, the daily chart for XAU/USD shows the pair trades inside a bullish channel, retreating just modestly from the upper end of the figure. Still, the upward momentum remains intact, and higher highs are in sight. In the mentioned time frame, technical indicators have partially lost their bullish strength but continue advancing within overbought territory. At the same time, the pair develops above all its moving averages, with the 20 Simple Moving Average (SMA) accelerating north above the 100 and 200 SMAs while providing dynamic support at around $2,726.

The near-term picture suggests buyers retain control despite a short pause. In the 4-hour chart, technical indicators reached overbought readings before turning flat, reflecting the ongoing retracement instead of suggesting a potential change in the dominant direction. At the same time, all moving averages gained upward traction far below the current level, with the 20 SMA at around $2,786.50.

Support levels: 2,804.50 2,786.50 2,772.00

Resistance levels: 2,825.20 2,840.00 2,855.00

Natural gas price took advantage of stochastic positivity that consolidates near 80 level now, to notice forming strong bullish rally this morning and surpass the MA55 at 3.260$, to start recording some gains by reaching 3.345$.

Now, the stability above 3.120$ support line and the continuous positive momentum coming by the major indicators support the chances of renewing the bullish attempts to target 3.420$ and 3.530$ levels.

The expected trading range for today is between 3.210$ and 3.420$

Trend forecast: Bullish

• Silver price loses ground to around $30.90 in Monday’s early European session, losing 1.30% on the day.
• The positive view of silver prevails above the 100-period EMA with a neutral RSI indicator.
• The initial support level is located at $30.60; the immediate resistance level is seen at $31.72.

The Silver price (XAG/USD) tumbles to near $30.90 during the early European trading hours on Monday. The mounting fears of a global trade war following US President Donald Trump’s sweeping tariff measures boost the US Dollar (USD) broadly and exerts some selling pressure on the white metal.

According to the 4-hour chart, the bullish outlook of the white metal remains intact, with the price holding above the key 100-period Exponential Moving Averages (EMA). Nonetheless, the Relative Strength Index (RSI) hovers around the midline, suggesting that further consolidation cannot be ruled out.

The first downside target is located at $30.60, the 100-period EMA. Further south, the next contention level to watch is $30.40, the lower limit of the Bollinger Band. Extended losses will pave the way to the $30.00, psychological level, en route to $29.50, the low of January 13.

In the bullish case, the immediate resistance level emerges at $31.72, the high of January 31. The next hurdle is seen at the $31.90-$32.00 region, representing the upper limit of the Bollinger Band and the round mark.

Silver price 4-hour chart

Bitcoin price (BTCUSD) shows additional positive trades to attempt to surpass 95195.00$ level, and as we mentioned this morning, this level represents important key to detect the next trend, as breaching it will push the price to attempt to regain the bullish track and achieve positive targets that reach 100000.00$, while consolidating below it will put the price under additional negative pressure that its next target reaches 87055.00$.

Therefore, we will continue with our neutrality until the price confirms its situation according to the above mentioned level followed by getting clearer signal for the next trend.

The expected trading range for today is between 90000.00$ support and 98500.00$ resistance.

Trend forecast: Neutral

Important DisclaimersThe content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party’s services, and does not assume responsibility for your use of any such third party’s website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.Risk DisclaimersThis website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.

Ethereum price (ETHUSD) opened today’s trading with sharp decline, to break 2764.75$ level and reach 2108.90$, noting that exiting the bearish channel hints heading to suffer more losses on the intraday and short-term basis, noticing that the price is trying to cover some losses and provide positive trades now, as it moves around 2500.00$.

The mixed trades make us prefer to stay aside until the price settles and get clearer signal for the next trend, noting that breaking 2356.50$ will push the price to continue the decline and achieve additional negative targets that reach 2000.00$ barrier, while breaching 2764.75$ will lead the price to regain the bullish track and achieve gains that start by visiting 3017.30$.

The expected trading range for today is between 2300.00$ support and 2730.00$ resistance.

Trend forecast: Neutral

Crude oil price opened today’s trading with sharp rise to touch 75.52$ level, and found solid resistance there, to rebound downwards strongly and reach 73.90$ level again, these mixed trades – affected by Trump decision to impose the tariffs on Canada and Mexico – make us prefer to continue with our neutrality until we get clearer signal for the next trend, to continue monitoring the price according to 73.90$ level.

Note that continuing to decline and breaking this level will push the price to resume the bearish track that its next target located at 72.30$, while consolidating above it will push the price to recover and visit 75.52$ again.

The expected trading range for today is between 72.40$ support and 75.60$ resistance

Trend forecast: Neutral